Consumer uptake will be slow, he acknowledged, but he laid out a scenario in which [E-Reader] adoption could save Meredith, which publishes Ladies’ Home Journal and Family Circle, about $60 million a year. Lacy told analysts the publisher spends about $150 million annually on paper, $80 million in printing costs and $80 million for mailing. If audience migration to an e-reader allows 20% of that $310 million to be trimmed, “that could really be meaningful to us from a financial point of view.”
via MediaPost.
2 Comments
That is an excellent example of the imbecile near-sightness of a bean counter. In the short run it is true. And this kind of profitable short run has lead to disasters.
Let me go into more detail. Sure, they would make a lot of money in the first 6 months by dumping all the paper costs. Actually, this is just another shift of costs, not a real discount. Instead of the publisher paying for the paper than getting its money back through sales – at this point the burden of the medium is put in on the reader’s shoulders. He or she has to buy a compatible gadget to enjoy the read.
In the not so short run this is the good example of yet another economic failure. There are readers among the people who produce that paper. There are readers who gain their living expenses (and magazine subscription money!) by being employed by those paper people. Leave them without jobs or, at least, with less paid work and they will discover that your magazine was just another piece in that huge pile of junk generated by the modern world. The next thing they’ll notice will be how, although the readership has a slight chance of going up (more jobless time) the subscriptions are lower than in the first decade of the paper. At that time the investors, banks, beancounters and audit people will be on a lunch break waiting for the bancrupcy and liquidation. Hurray for the moron who hails the dawning of a day when he’ll be paid a fraction of today’s paycheck.
I think most people would agree that saving money is something “easier said than done”. Personally, I believe it’s a mind-set that needs to be developed by creating good money-saving habits.
Here are some things I’ve done to help change my spending habits:
– Cook more at home ( Eating out is very expensive especially
if you do it a couple times a week
– Try shopping online ( You can find better deals than in the
store and you save on gas (I recommend HYPERLINK
“http://www.shoptivity.com” http://www.shoptivity.com)
– Pay the full balance on credit cards each month ( Interest
charge is like giving away free money
– Don’t forget to pay yourself ( Set up an online savings
account (they pay higher interest than a normal savings
account)
– Set a budget and goals ( It’s good to have your goals
written down so you see them everyday and don’t lose focus
on your ultimate objectives
Again, saving money requires a lot of patience and hard work. However, you’ll thank yourself later on in life. Good luck everyone!! =)
Comments are closed for this article!